New Delhi: Oil and Natural Gas Corporation (ONGC) has onboarded a unit of BP as a Technical Services Provider (TSP) for enhancing production from its entire western offshore fields, excluding the Mumbai High field, as part of efforts to raise domestic oil and gas output.
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The company said that BP Exploration Services India Limited has been selected following an International Competitive Bidding (ICB) process aimed at bringing global technology, expertise and operational best practices to mature offshore fields in the Mumbai Offshore Basin.
According to ONGC, the TSP has projected a potential increase of around 10.8 percent in crude oil production during the 10-year contract period, with output expected to rise from a baseline of 46.25 million metric tonnes (MMT) to 51.26 MMT. Gas production is projected to increase by around 31.5 percent, from 82.68 billion cubic metres (BCM) to 108.69 BCM.
In oil and oil equivalent gas (O+OEG) terms, the projected increase stands at around 24.1 percent, rising from 128.93 million metric tonnes of oil equivalent (MMTOE) to 159.96 MMTOE. ONGC said the production gains are expected to start becoming visible from FY27, with full-scale impact likely from FY30 onwards.
The western offshore basin remains ONGC’s most prolific hydrocarbon-producing region, comprising 43 blocks, including 28 under the nomination regime and others under OALP, NELP and DSF regimes. The fields have been under continuous development for more than four decades and contribute a substantial share of the company’s crude oil and gas production.
ONGC noted that its earlier engagement with BP Exploration Alpha Ltd. for the Mumbai High field in January 2025 had shown encouraging results, including moderation in production decline and stabilization through focused well, reservoir and facility management initiatives, optimization of existing wells and facility de-bottlenecking.
The company said the newly selected TSP will review field performance and identify improvements in reservoirs, facilities and wells to enhance production from the western offshore assets.
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Under the agreement structure, the TSP will receive a fixed fee for the first two years, followed by a service fee linked to a share of revenue generated from net incremental hydrocarbon production after recovery of incremental costs.
ONGC said the move is aimed at unlocking the enhanced production potential of the entire western offshore portfolio by leveraging advanced technologies and global best practices to strengthen India’s energy security.
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